GXY (ASX) CY17 forecast

Originally posted by yanlin ↑

Considering the silver doughnut succeeded last time to drive the price way down, who's to say they can't do it again??
Have a look at their valuation and recommendation on GXY - extract below:

Price catalyst
 12-month price target: A$0.46 based on a DCF methodology.
 Catalyst: Achieving its first shipment and securing strong pricing for CY17 have proved strong catalysts for GXY. Translating this success to earnings and increasing market share through expansion are, in our view, the key longterm catalysts for the company. Meaningful progress at Sal de Vida would also be a positive.
Action and recommendation
 Maintain Underperform. GXY’s successful redesign and recommissioning of Mt Cattlin is a significant achievement. We still expect a large amount of new supply to be delivered over the near term. Whether longer-term demand conditions are strong enough to incentivise the construction of Sal de Vida remains to be seen.

They also value SDV at $0.10 per share.....WTF!!!

Anyway, it looks like Crash's assessment is very real and publications like this will only reinforce the market view is the next move will be down. I will be a lot more conservative in my buying moving forward.

GLTA

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Doubt that macquarie's antics will now have much effect on the sp. GXY is now big enough and has enough runs on the board to withstand misinformed rumours or broker manipulation. The facts speak for themselves. Steady as she goes there has been one milestone after another all The recent placement was hugely oversubscribed by institutional and sophisticated investors who presumably do their own research and are very satisfied with the way GXY is tracking. Which is an increasingly reliable source of funds from Mt Cattlin together with enough money in the kitty now to get SDV and James Bay to a pilot stage where they are very attractive for a JV or even possibly debt funding to go it alone . This is all supported by an experienced on ground team and highly credentialed board. In the absence of a major disaster this former little company is steadily on its way to the big time.